UPDATE: Embracer has confirmed layoffs at New World Interactive. Saber Interactive, which is the company New World Interactive falls under within the vast Embracer umbrella, has stated that while there have been layoffs, the studio has not been shut down.

ORIGINAL STORY: According to Nick Calandra of Second Wind, the company made up of former The Escapist employees, he has heard from sources that Embracer has shut down New World Interactive, the studio perhaps best known for Insurgency: Sandstorm.

Calandra went on to say that a public post on LinkedIn seemed to confirm what his sources said. He opted to keep the name of the poster private, but here’s what was said: “Hey everyone, our project at New World Interactive was cancelled today and most of the team has been let go as a result, including myself.”

I began to do my own research and discovered a similar post from Andrew Myers, lead game designed at New World Interactive.

“Its with a heavy heart that the project I have been working on at New World Interactive for the past few years will not see the light of day.” Myers writes. “I will miss all the wonderful people that I have become so close with, and I hope we all land on our feet and our paths cross soon. It has been a fantastic few years, I learned so much and I hope to bring that knowledge to something else in the future. If any company is looking for people in the industry, New World had an incredible team and I cant recommend them enough.”

Jack Kelley of New World Interactive said something similiar: “Saddened by our project being cancelled today – there are a lot of talented people suddenly finding themselves available for work. The timing can’t be worse, but if you need passionate, talented people for your project please don’t hesitate to reach out!”

None of these posts outright state that the studio has been closed, although it certainly seems like it.

Sandstorm has continued to be supported by New World Interactive, including a sizable new content drop in October, however it has had a relatively smaller playerbase, typically averaging around 2,000-4,000 players per day. In other words, it’s not hugely surprising that New World Interactive became the latest victim of Embracer’s massive restructuring program which has so far resulted in nearly a thousand layoffs and multiple studios being closed, including that of Volition, the makers of Saints Row. It has also been confirmed that Free Radical is facing closure this month.

Most of this steam from Embracer gobbling up studios at an insane rate over the last decade or so, becoming unfeasibly large. The house of cards collapsed when a reported $2 billion deal blew up in their faces. The company has confirmed that more layoffs and closures are expected, yet there’s no word of any of the idiotic Embracer’s leadership facing the consequences of their poor decisions. Typical.